What to expect when applying for a boat loan
Boat loans tend to be a necessary means to financing the boat you wish to purchase. Although taking loans can be inevitable, that is not to say that they are a bad thing. There are plenty of ways to obtain a boat loan without breaking the bank or getting a headache from the paperwork. Here at Vessel Vendor, we are here to make the process clearer and simpler. Whether you are eyeing the used boats for sale or desire one that is brand new, there are a few things you should consider before proceeding so that you are properly prepared for your boat loan application process.
What should you know before applying for a boat loan?
The procedures that correspond with the application to your boat loan entirely depends on the dealership or bank of your choosing. Each institution handles it differently. Nevertheless, there are a few steps of the process that are universal in the boating and financing industry. Hopefully, we at Vessel Vendor can get you off to the right start by outlining the common practices you will need to complete. Be aware that most loan financing options require you to set a down payment that is equal to ten to thirty percent, depending on the exact type of boat you have chosen and its price. Usually, the down payment also includes the initial loan and processing fees.
While some companies require you to put forth a boat application fee, the most common practice is for the application fee to only be processed if your loan is approved. The application takes anywhere from one day to a few weeks to process. The most common practice is for your application to be processed within one to three business days. Remember to be patient during this process. Companies wish to be thorough. After all, it is the occupation of these workers to loan boaters like you significantly large sums of money.
Another thing you should be aware of when applying for boat loans is that you are likely to be required to disclose your personal information, including your personal income. In fact, it is standard protocol to require income verification.
With all this in mind, make sure to have valid documentation ready so that you can expedite the process. Also, prepare for applying for the loan by ensuring that you have chosen the boat you are set on, and that it is available. We hope that these brief tips will serve to make the loan application process smooth sailing. Oh, and yes, pun intended.